Jersey, Channel Islands -- (MARKET WIRE) -- March 29, 2007 --
RANDGOLD RESOURCES LIMITED
Incorporated in Jersey, Channel Islands
Reg. No. 62686
LSE Trading Symbol: RRS
Nasdaq Trading Symbol: GOLD
RANDGOLD RESOURCES REPORTS SIGNIFICANT RISE IN RESERVES AND RESOURCES
London, United Kingdom, 29 March 2007 - London and Nasdaq listed gold miner
Randgold Resources' latest resource and reserve declaration, published today as
part of its annual report for 2006, shows that the company discovered more than
a million new reserve and resource ounces during the past year.
Main contributor to the increase was the company's Loulo project, where
resources rose from 9.93 million ounces to 11.35 million ounces and reserves
from 5.59 million ounces to 6.80 million over the last year. Most of this
increase was attributable to the Gara deposit, where the underground reserve was
almost trebled through drilling. The recently identified Faraba satellite target
has contributed a new inferred resource of 570 000 ounces.
At the attributable level, measured, indicated and inferred resources rose from
11.67 million ounces at the end of 2005 to 12.55 million, while proven and
probable reserves increased from 5.42 million ounces to 6.29 million, net of
depletion of some 400 000 ounces by mining through the year.
RESOURCE AND RESERVE DECLARATION (abridged)
Tonnes Grade Gold Attribu
(Mt) (g/t) (Moz) table
MINE/PROJECT Category 2006 2006 2006 gold
(Moz)
MINERAL RESOURCES
Morila 40%
Measured and Indicated 30.04 2.61 2.52 1.01
Inferred 3.09 3.31 0.33 0.13
Loulo 80%
Measured and Indicated 61.77 4.64 9.22 7.37
Inferred 22.77 2.91 2.13 1.70
Tongon 75%
Measured and Indicated
Inferred 35.96 2.69 3.11 2.33
Total Measured and 91.81 3.98 11.74 8.38
Indicated
Total Inferred 61.81 2.80 5.57 4.17
ORE RESERVES
Morila
Proved and Probable 26.71 2.49 2.13 0.85
Loulo
Proved and Probable 49.14 4.30 6.80 5.44
Total Proved and Probable 75.85 3.66 8.93 6.29
Since the year-end, ongoing diamond drilling at Gara, up to 400 metres south of
the current wireframe, has confirmed the presence of additional high grade gold
mineralisation associated with a blind antiformal fold closure of the host
quartz tourmaline unit. Results to date are:
GARA DRILLING RESULTS
Hole No. From To Inter-section Estimated Grade Including
(m) (m) width (m) true (g/t)
width (m)
LOCP120 757.40 763.20 5.80 4.58 9.16 2.9m @
16.66g/t
from
759.10m
LOCP124 551.75 558.75 7.00 5.35 17.95 1.8m @
59.56g/t
from
556.00m
LOCP125 795.14 806.70 11.56 8.41 1.53
820.35 826.50 6.15 4.51 11.22
LOCP126 566.25 581.53 15.28 10.81 2.25
including 566.25 571.00 4.75 3.36 5.54 0.83m @
28.10g/t
from
566.25m
591.80 598.20 6.40 4.53 10.37 1.15m @
31.90g/t
from
592.75m
Drilling continues to further define the dimensions of this high grade payshoot,
which is open at depth and along strike. Once modelling has been completed, the
Gara underground mining schedule and design will be reviewed. Underground
development is due to start at Gara in 2009 while the Yalea underground mine
will produce its first ore later this year. The Gara and Yalea open-pit mines
have been in operation since the last quarter of 2005.
Chief executive Mark Bristow said the sustained growth in the company's resource
and reserve base showed the success of Randgold Resources' strategy of creating
value through discovery and development.
"Loulo was originally conceived as an open-pit operation with a relatively short
life but through continued exploration we have already built it into a truly
world class project with a production profile that extends beyond 15 years. And
as the latest drilling results from Gara indicate, there is still a considerable
potential for growth at this project," Bristow said.
"Like our other mine Morila, Loulo is the product of our own exploration
efforts. Because we maintained our investment in exploration through the trough
in the gold price cycle, we have been able to build production in time to
benefit from the current high price. The underground mines being developed at
Loulo, the tangible upside there and our other projects such as the
feasibility-stage Tongon give our continued growth prospects real substance."
RANDGOLD RESOURCES ENQUIRIES:
Chief Executive Financial Director Investor & Media Relations
Dr Mark Bristow Roger Williams Kathy du Plessis
+44 779 775 2288 +44 791 709 8939 +27 11 728 4701
+44 788 071 1386 Cell: +27 83 266 5847
Email:
randgoldresources@dpapr.com
Website:
www.randgoldresources.com
DISCLAIMER: Statements made in this document with respect to Randgold Resources'
current plans, estimates, strategies and beliefs and other statements that are
not historical facts are forward-looking statements about the future performance
of Randgold Resources. These statements are based on management's assumptions
and beliefs in light of the information currently available to it. Randgold
Resources cautions you that a number of important risks and uncertainties could
cause actual results to differ materially from those discussed in the
forward-looking statements, and therefore you should not place undue reliance on
them. The 2005 annual report notes that the financial statements do not reflect
any provisions or other adjustments that might arise from the claims and legal
process initiated by Loulo against MDM. Other potential risks and uncertainties
include risks associated with: fluctuations in the market price of gold, gold
production at Morila, the development of Loulo and estimates of resources,
reserves and mine life. For a discussion on such other risk factors refer to the
annual report on Form 20-F for the year ended 31 December 2005 which was filed
with the United States Securities and Exchange Commission (the 'SEC') on 29 June
2006. Randgold Resources assumes no obligation to update information in this
release. Cautionary note to US investors: the 'SEC' permits companies, in their
filings with the 'SEC', to disclose only proven and probable ore reserves. We
use certain terms in this release, such as "resources", that the 'SEC' does not
recognise and strictly prohibits us from including in our filings with the
'SEC'. Investors are cautioned not to assume that all or any parts of our
resources will ever be converted into reserves which qualify as 'proven and
probable reserves' for the purposes of the SEC's Industry Guide number 7.
This information is provided by RNS
The company news service from the London Stock Exchange